Asian equity markets vaulted to unprecedented levels on Friday, led by Japan’s Nikkei 225 and South Korea’s Kospi, after reports of a tentative U.S.–Iran cease‑fire extension.. The rally came even as oil prices slipped modestly but remained well above pre‑war levels.

Nikkei 225 hits 66,329.50 record

The Nikkei 225 closed at 66,329.50, up 2 .5%, marking its highest close ever. Analysts at Nomura noted that the jump was driven by broad buying across technology and export‑oriented firms, refelcting renewed confidence in global trade flows. According to the source report, the index’s surge was the strongest single‑day gain since 2022, underscoring how quickly sentiment can pivot on geopolitical news .

Kospi climbs to 8,476.15 amid AI rally

South Korea’s Kospi surged 3.6% to 8,476.15, its all‑time high, propelled by a 5.8% jump in Samsung Electronics. the chipmaker’s rise mirrored a broader AI‑driven rally, with investors betting on sustained demand for semiconductors. As the source noted, the AI boom has become a key catalyst for Asian markets, lifting not only Samsung but also a host of smaller tech stocks.

Tentative U.S.-Iran ceasefire extension fuels optimism

Wall Street and Asian exchanges alike reacted to reports that U.S. and Iranian negotiators reached a provisional agreement on Thursday to extend their ceasefire and reopen talks on Iran’s nuclear program. The S&P 500 rose 0.6% to 7,563.63, while the Dow and Nasdaq also posted modest gains. According to the source, the deal still requires formal approval from President Donald Trump and confirmation from Tehran, leaving a degree of uncertainty despite the market euphoria.

Oil prices stay above $90 despite Strait of Hormuz closure

Brent crude slipped 1.2% to $91.57 per barrel and U.S. WTI fell 1.5% to $87.56, yet both remain well above the pre‑war $70 benchmark. The Strait of Hormuz, a vital oil chokepoint, has been largely clossed since the conflict began,keeping supply concerns alive. ING commodity strategists warned that even a reopening of the strait would not instantly restore full shipping volumes, as vessel owners remain wary of a potential ceasefire collapse.

What approvals does the ceasefire deal still need?

The source highlighted two missing pieces: a formal sign‑off from President Trump and a reciprocal confirmation from Iran’s leadership. Without these, the tentative agreement could unravel, potentially reversing the market gains seen on Friday.